Capital One® Spark® Cash for Business Review

Note: Some offer details in this article have expired and/or are being changed by the issuer. Appropriate updates will be applied to the article when the changes have been finalized.

As a business owner, you know that you need to make every dollar count. One way you can maximize your business spending is to get a good business credit card. Not only can you build credit for your business, but you can also use your business credit card to earn cash back rewards on the things you need every day.

If you are looking for a business credit card that offers flexibility and a good rewards rate, the Capital One® Spark® Cash for Business might be the right choice for you.

Capital One® Spark® Cash for Business

With the Capital One® Spark® Cash for Business, you have the ability to earn 2% cash back on all of your purchases. You don’t have to worry about rotating categories and rewards can be redeemed at any time, and for any amount. It’s even possible to set up automatic redemption so you don’t have to think about when to redeem. Plus, this card comes with no foreign transaction fees, so it’s perfect if you make overseas purchases from vendors.

Features

Receive a one-time $500 cash bonus when you spend $4,500 on the card within 3 months from account opening

Receive 2% cash back on every purchase, every day

Earn unlimited cash rewards that don’t expire

$95 annual fee, waived the first year

APR: 19.24%, variable

Card Benefits

If you hope to get a little extra back on your regular business spending, the Spark® Cash for Business card can be a great choice. You receive 2% cash back on all your purchases. This card is best used for all of your business purchases so that you earn cash back on the things that help your business grow. This can free up capital for other needed expenses, like payroll for your employees.

One of the biggest benefits to the Spark® Cash for Business card is the fact that there are no foreign transaction fees. If you order inventory from overseas, you can avoid the foreign fees associated with your purchases.

There is a signing bonus of $500 when you spend $4,500 within the first three months from account opening. That can be a big help for your company if you are starting out on a shoestring. You can redeem cash back anytime, and for any amount, and your rewards never expire. Set up automatic redemption for increased convenience. This is a very straightforward, no-frills credit card. If you want a certain amount of flexibility without the hassle, the Capital One® Spark® Cash for Business can be a good choice for you.

Drawbacks

One of the biggest drawbacks to the Spark® Cash for Business card is the fact that there is no 0% APR promotion. This means that you start paying interest immediately when you begin spending. For a startup, that can be painful. If you are already established, you might be able to pay off the balance each month and reap the rewards. New companies starting on a shoestring might end up carrying a balance for a few months and the interest can reduce the effectiveness of the cash back rewards.

Another downside is the annual fee. You need to spend close to $3,000 per year on the card to just break even. You can overcome this issue the first year, with the annual fee waived and if you qualify for the $500 cash back, but you need to keep using the card to make it worth it. You need to spend more than the break-even amount to make the $95 annual fee worth paying.

The lack of rotating categories or bonus categories can be a negative for some businesses. There are other business credit cards that pay a higher rate for certain expenditures, like office supplies or telecommunications costs. If you find yourself spending a lot of money in certain categories, and less in others, it might be worth it to look into a different credit card. (For example, the SimplyCash® Plus Business Credit Card from American Express offers 5% cash back on wireless telephone services and 3% cash back on a category of your choice.)

Bottom Line

The Capital One® Spark® Cash for Business is a great credit card for business owners looking for flexibility and consistent rewards on their everyday purchases and for those who buy frequently overseas without doing much travel. It’s a good card for a business owner who wants a no-nonsense rewards credit card that is easy to use with flexible cash back redemption.

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ABOUT THE AUTHOR

Miranda is a financial journalist and expert. Her work has appeared in numerous publications and she has contributed to NPR and appeared on other radio shows and TV. Miranda writes about money at PlantingMoneySeeds.com.

Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author's alone, and have not been reviewed, approved or otherwise endorsed by any card issuer.

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EDITORIAL NOTE

Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author's alone, and have not been reviewed, approved or otherwise endorsed by any card issuer.

Credit Cards Explained may earn affiliate commissions from our partners on this page. These commissions do not affect how we select, rate, or review products. To find out more, read our complete terms of use.